Question: Why are externally presented reports required to be prepared according to generally accepted accounting principles while internally presented managerial accounting reports are not? How can

Why are externally presented reports required to be prepared according to generally accepted accounting principles while internally presented managerial accounting reports are not? How can a misstatement in one financial statement, whether intentional or not, affect a presentation in another financial statement? Give an example of an error that occurs on one of the financial statements and the error flows through to a different financial statement.

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The external financial statements should be supported IAS or GAAP requirements The principles laid down within the order of reporting in accordance with these standards make it more adequate and capab... View full answer

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